ACI
3I0-013 · Question #127
Settlement risk is:
The correct answer is B. The risk that exchange rates move against a bank's position. See the full explanation below for the reasoning.
Question
Settlement risk is:
Options
- AThe risk that a bank makes its payment but does not receive a return payment in the
- BThe risk that exchange rates move against a bank's position
- CThe risk a counterparty defaults on a contract and a bank has to replace that contract at
- DThe risk of a disaster that disables a bank's trading floor
How the community answered
(50 responses)- A6% (3)
- B82% (41)
- C10% (5)
- D2% (1)
Community Discussion
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